While US financial markets are closed for the Thanksgiving holiday today, a closely-watched meeting of OPEC has resulted in the oil cartel taking no action in cutting oil production. According to a Reuters report, Saudi Arabia blocked calls from poorer members of OPEC who wanted cut oil production to boost prices which provide vital revenues for many oil-producing nations.

Today on the international oil markets, Brent crude fell $6 per barrel to near $71, and US WTI Crude has fallen by six percentage points below $70 per barrel.

There will be economic repercussions from oil’s sharp decline over recent months, and it looks like we could be seeing an oil price war between OPEC and North America. Many speculate that Saudi Arabia is hoping to damage the North American oil industry by letting prices fall. Much of the current oil production in the United States will become unprofitable if prices much further (expensive technology is required in shale production) and Saudi Arabian production can be profitable at much lower prices.